Reinsurance Group Of America, Incorporated · NYSE:RGA
Reinsurance Group Of America — Investor Day (May 2017)
101 slides from Reinsurance Group Of America's investor day presentation, May 18, 2017
Slide 1: Investor Day 2017
Investor Day 2017 Jeff Hopson Senior Vice President, Investor Relations May 18, 2017 Exhibit 99.1
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements relating to projections of the strategies, earnings, revenues, income or loss, ratios, future financial performance and gr
Slide 3: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures RGA uses a non-GAAP financial measure called “adjusted operating income” as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that ad
Slide 4: Agenda
Opening Remarks Jeff Hopson, Senior Vice President, Investor Relations Introduction and Overview Anna Manning, President and Chief Executive Officer Geographic Overview Alain Néemeh, Senior Executive Vice President and Chief Operating Officer Global Acquisitions Scott Cochran, Executive Vice Preside
Slide 5: Introduction and Overview
Introduction and Overview Anna Manning President and Chief Executive Officer May 18, 2017
Slide 6: Key Messages
Key Messages Strong brand, reputation, and market prominence Only global pure-play life and health reinsurer Valuable global platform Experienced management team Deep knowledge and expertise Best-in-class capabilities, services, and solutions Consistent and disciplined approach Diversified and balan
Slide 7: Industry Outlook
Industry Outlook Global life insurance industry is facing several challenges Shifting demographics Changing consumer needs Regulatory and macroeconomic uncertainty Relatively low interest rates Increasing global volatility Life reinsurance industry dynamics are generally stable Concentrated sector C
Slide 8: Evolution of Our Geographic Platform
Evolution of Our Geographic Platform Percent1 of Adjusted Operating Revenues2 Office Locations 1992 2016 2004 Year Total: $11.4 Billion Total: $3.9 Billion Total: $0.4 Billion 1 Percentages exclude Corporate. 2 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix.
Slide 9: Evolution of Our Products
2016 2004 1992 Evolution of Our Products Year Product Year Product 1995 Entered capital-motivated reinsurance business 2008 First longevity transaction in the U.K. 1997 First asset-intensive business in the U.S. 2009 Acquired U.S. group reinsurance business from ING 1998 First capital-motivated rein
Slide 10: RGA Is Well-Positioned
RGA Is Well-Positioned 1 Does not include Munich Health. 2 Adjusted operating revenues. 3 Does not include BHRG. Revenues as of 12/31/2015. Please note: exchange rate conversions are based on currency rates provided by each company in their Annual Reports. Source: Annual filings for each reinsurer.
Slide 11: RGA Is Well-Positioned
RGA Is Well-Positioned Strong brand, reputation, and market prominence Top positions in new business market shares Well-established and valuable global platform Full range of capabilities and solutions Consistent and disciplined approach with focus on long-term value creation Balanced business portf
Slide 12: RGA Has Best-In-Class Capabilities
Business Capability Index – All respondents1 Market Penetration Indicates competitor position RGA Has Best-In-Class Capabilities NMG Consulting Studies, Business Capability Index (BCI) – 2016 RGA ranked #1 globally for five consecutive years Global 1 NMG Consulting’s Business Capability Index (Globa
Slide 13: Experienced Management Team, An Exceptional Strength
Experienced Management Team, An Exceptional Strength 1 Includes experience in life insurance and life reinsurance industries. 2 Includes experience with RGA’s predecessor, the reinsurance division of General American Life Insurance Company. Name Position Years of Experience In Industry1 With RGA2 An
Slide 14: RGA's Proven Strategy with Exceptional Strengths
RGA’s Proven Strategy with Exceptional Strengths RGA’s DNA Client-centric Deep and broad technical expertise Collaborative culture Innovative and creative mindset Entrepreneurial orientation Only pure-play global life and health reinsurer Comprehensive solutions provider Capabilities leveraged acros
Slide 15: Demonstrated Success in Continually Growing Book Value Per Share
Demonstrated Success in Continually Growing Book Value Per Share Book value per share (ex-AOCI)1 total return growth2 1 Periods prior to 4Q06 not restated for 2012 DAC accounting change. Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. 2 CAGR growth of book value plus dividend
Slide 16: Five-Year Book Value Growth Highest Among Peers
Five-Year Book Value Growth Highest Among Peers Book value per share (ex-AOCI) total return growth2 1 CAGR growth of book value plus dividends. 2011-2016. Source: SNL. This group represents all companies in the SNL U.S. Life/Health index that were publicly traded over the period and which represent
Slide 17: RGA Shares Have Performed Well Historically
RGA Shares Have Performed Well Historically Source: SNL, price change percent. Information as of 5/5/17. 1 Global Peer Average includes Hannover Re, Munich Re, SCOR Re and Swiss Re. 1 1 1 1
Slide 18: Vision for the Future
Vision for the Future Robust organic growth and transactional opportunities Full range of capabilities and solutions Strong teams, consistent approach, focused on execution High-performing global model, with good balance and diversity Mortality and morbidity trends constructive overall to RGA Innova
Slide 19: Key Messages
Key Messages Strong brand, reputation, and market prominence Only global pure-play life and health reinsurer Valuable global platform Experienced management team Deep knowledge and expertise Best-in-class capabilities, services, and solutions Consistent and disciplined approach Diversified and balan
Slide 20: Geographic Overview
Geographic Overview Alain Néemeh Senior Executive Vice President and Chief Operating Officer
Slide 21: Key Messages
Key Messages Established global brand Strong local franchises Global facultative underwriting leader Culture of innovation Consistent leader in business capability rankings Top 3 market share in key markets Locally managed, globally guided Disciplined and bottom-line focused Well-diversified busines
Slide 22: Established Global Brand
Established Global Brand 1 NMG Consulting’s Business Capability Index (Globally). 2 Ceded premiums of newly issued policies (excluding block transactions) as provided by NMG Consulting’s study of 50 countries. 3 Recurring production result as provided by the SOA survey. 4 Total ceded premiums of gro
Slide 23: Diversified Global Platform
Diversified Global Platform Consistent growth across regions Premiums $ in millions
Slide 24: Global Facultative Underwriting Leader
RGA consistently ranked #1 by our clients’ underwriters in industry surveys Assessed over 660,000 cases globally through our facultative and strategic underwriting programs Achieved a 24-hour turnaround average on 90% of facultative cases worldwide RGA’s Global Underwriting Manual recorded over 605,
Slide 25: Steady Growth in Mortality
Steady Growth in Mortality 1 1 Net premiums have been adjusted for retrocessions. 2 4.3% and 2.8% in local currency and USD CAGRs, respectively, reflecting retrocession transaction. RGA’s global footprint supports growth Strong recurring production coupled with in-force opportunities results in stea
Slide 26: Mortality Improvement Over the Past Years
Mortality Improvement Over the Past 50 Years Population mortality continues to improve despite short-term volatility Over a shorter timeframe, population mortality trends are complex and cannot be easily generalized Medical and health advances should continue to drive mortality improvement Key Messa
Slide 27: Attractive Opportunities in Morbidity
Attractive Opportunities in Morbidity Well-positioned to benefit from favorable macro trends Aging population and growing middle class heighten the need for morbidity products Greater pressure on government finances and increase in treatment cost drive private solutions RGA is well-positioned given
Slide 28: A Culture of Innovation
A Culture of Innovation EMEA Capital-efficient solutions Asset-intensive transaction – U.K. Longevity risk protection solutions – Netherlands First longevity swap transaction – France Mass lapse shock absorbers – Netherlands & Nordics ASIA Product development High Net Worth products Comprehensive ea
Slide 29: U.S. & Latin America
U.S. & Latin America 1 NMG Consulting Global Life & Health Reinsurance Programme – 2016. 2 Actual results shown (except for projections). Refer to “Reconciliations of Non-GAAP Measures” in the Appendix. A leading franchise1 #1 U.S. Individual Mortality BCI ranking #1 “premier facultative underwritin
Slide 30: U.S. & Latin America Traditional
U.S. & Latin America Traditional 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. Long-term stability despite quarterly volatility Annual Pre-tax Adjusted Operating Income1 Year $ in millions 2011 $323.0 2012 $376.7 2013 $372.7 2014 $350.3 2015 $233.5 2016 $375.3
Slide 31: Value Embedded in U.S. & Latin America Traditional In-Force
Value Embedded in U.S. & Latin America Traditional In-Force Actuarial Liabilities – U.S. GAAP vs. Best Estimate $ in billions
Slide 32: U.S. – Reinsurance Cession Rates
U.S. – Reinsurance Cession Rates Source: Society of Actuaries Reinsurance Market Surveys/LIMRA/SNL. Stable market environment $ in billions $ in billions
Slide 33: Canada
Canada Key Messages A leading franchise New business recurring production leader since 20071 BCI leader since 20082 Strong local currency revenue growth Stable stream of earnings 2012 results include $24M of non-recurring items due to creditor reserve release and recapture fees Projection 6 – 9% CAG
Slide 34: Europe, the Middle East and Africa
Europe, the Middle East and Africa Key Messages A leading franchise1 #1 in 2016 BCI ranking #2 in new business individual premiums Attractive revenue growth Strong earnings growth Strong demand for capital-motivated reinsurance, driven by Solvency II Integrating Traditional and Financial Solutions e
Slide 35: Australia
Australia Key Messages Large and important reinsurance market, challenged by market conditions Group turnaround on track Disappointing individual disability (DI) performance in 2016 Continued repricing and other actions to improve profitability Prudent participation in new business opportunities $45
Slide 36: Asia
Asia1 Key Messages A leading franchise2 #1 in BCI for the 5th consecutive year #1 in new business individual premiums for the 5th consecutive year #1 in both underwriting and product development solutions Strong growth in revenues and earnings "Employer of the Year," 2016 Asia Insurance Industry Awa
Slide 37: Asia – A Significant Opportunity
Asia – A Significant Opportunity Strong growth dynamics Growing middle class increasing demand for insurance products Aging population driving the need for health and living benefits Greater recognition of the benefits of reinsurance should augment its utilization Changes in the regulatory environme
Slide 38: Asia – A Significant Opportunity
Asia – A Significant Opportunity Leading life reinsurance franchise in the region Leadership in product development and underwriting solutions Reputation for strong execution and leading-edge innovations Leveraging RGA’s global strengths into local markets Integrating Traditional and Financial Solut
Slide 39: Key Messages
Key Messages Established global brand Strong local franchises Global facultative underwriting leader Culture of innovation Consistent leader in business capability rankings Top 3 market share in key markets Locally managed, globally guided Disciplined and bottom-line focused Well-diversified busines
Slide 40: Global Acquisitions
Global Acquisitions Scott Cochran Executive Vice President, Corporate Development and Acquisitions
Slide 41: Key Messages
Strong brand, reputation, market prominence Benefiting from a unique position in the runoff market Expecting continued diversity of opportunities and solutions Flexible and nimble global operating platform with deep technical expertise Capitalizing on market dislocations Consistent and disciplined a
Slide 42: Well-Positioned in the Runoff Market
Well-Positioned in the Runoff Market Numerous differentiators available for each opportunity Exceptional “deal certainty” for clients resulting from creative solutions, credibility, and strong relationships Use of enterprise-wide expertise in capital management, actuarial, and investments Flexible s
Slide 43: Strong Contributions to Date
Strong Contributions to Date Key Messages RGA’s transaction teams have deployed over $1.2 billion of capital during the last 5 years Includes life, annuity, and longevity runoff blocks in the U.S., U.K., Canada, and Continental Europe Overall, transactions have performed in line with or above expect
Slide 44: Optimistic Outlook
Optimistic Outlook Regulatory change, economic pressures, and changes to clients’ strategic plans all point toward continual runoff opportunities RGA’s broad geographic reach and flexible approach provide many opportunities Developing new solutions to further meet client needs and market opportuniti
Slide 45: Summary
Summary Strong financial contributions to date Macro/regulatory conditions are conducive to continued opportunities Pipeline remains active, but pace of execution is difficult to predict Will continue to align activities with capital management, and retain the discipline that has proven effective ov
Slide 46: Key Messages
Strong brand, reputation, market prominence Benefiting from a unique position in the runoff market Expecting continued diversity of opportunities and solutions Flexible and nimble global operating platform with deep technical expertise Capitalizing on market dislocations Consistent and disciplined a
Slide 47: Global Financial Solutions (GFS)
Global Financial Solutions (GFS) John Laughlin Executive Vice President, Global Financial Solutions
Slide 48: Key Messages
Key Messages Strong brand, reputation, market prominence Changing landscape creates opportunities Unique strengths create competitive advantages A recognized leader in large and complex transactions Experienced management team, disciplined approach Strong and stable financial results over many years
Slide 49: GFS – Established Core Business Lines
GFS – Established Core Business Lines A history of growth and innovation 1983 1995 1997 2000 2002 2006 2008 2010 2012 2013 2014 2016 Began reinsurance operations as ITT Lyndon RGA acquired 40% ownership stake First asset- intensive transaction “BOLI” First longevity transaction in Canada First varia
Slide 50: Environmental Change Continues
Environmental Change Continues Regulatory changes Solvency and accounting changes Low (but improving) interest rate environment Longer lifespans Opportunities triggered by changing environment New opportunities for innovative reinsurance solutions Need for more capital and more stability of capital
Slide 51: Solvency II
Solvency II Client and regulatory positions are settling; internal models and regulatory acceptance gaining clarity Demand continues for long-term guarantee and market risk solutions Good fit for RGA: U.S.-based, expertise in market and biometric risks Longevity transactions (with and without asset
Slide 52: Well-Defined Strategies Lead to Strong Execution
Well-Defined Strategies Lead to Strong Execution Long, deep partnerships across client organizations Historical understanding of clients’ products and objectives Strong collaboration and integration across RGA global footprint Robust solution set: ability to accept and retain biometric and investmen
Slide 53: Experienced Management Team, An Exceptional Strength
Experienced Management Team, An Exceptional Strength 1 Includes experience in life insurance and life reinsurance industries. 2 Includes experience with RGA’s predecessor, the reinsurance division of General American Life Insurance Company. Name Position Years of Experience In Industry1 With RGA2 Jo
Slide 54: GFS Results by Region
GFS Results by Region Strong adjusted operating income; important contributor to RGA’s results Proven track record of consistent and dependable earnings Attractive returns Strong growth in U.S. and EMEA Runoff treaty in Asia Pacific had adverse results in 2016 Foreign currency negatively affected 20
Slide 55: GFS Results by Product Line
GFS Results by Product Line 1 Actual results shown (except for projections). Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. Good diversification of earnings and risk; balanced mix across products $ in millions Key Messages Insurance and structuring expertise is valued by cli
Slide 56: Asset-Intensive Reinsurance – Executing Strategies
Asset-Intensive Reinsurance – Executing Strategies Build a balanced portfolio of income and risks through: Assuming in-force blocks priced at current market conditions Selectively participating in profitable flow deals Target well-designed products from quality insurers Expand in established markets
Slide 57: Asset-Intensive Reinsurance
Asset-Intensive Reinsurance FA/BOLI – Fixed Annuities/Bank-Owned Life Insurance FIA – Fixed Indexed Annuities VA – Variable Annuities ATL – Asset Transfer Longevity Consistent, stable earnings; low sensitivity to market and policyholder behavior risks $ in millions 22% CAGR 22% CAGR Pre-tax Adjusted
Slide 58: Asset-Intensive Reinsurance – Optionality Profile
Asset-Intensive Reinsurance – Optionality Profile Reserves Profile March 31, 2017 No policyholder behavior risk: Locked-in longevity in payout Very low policyholder behavior risk: BOLI Lower policyholder behavior risk: Fixed and indexed annuity business with: High guarantees (typically 3-4%) Surrend
Slide 59: Asset-Intensive Reinsurance – Stable Earnings Under Market Movements
3% or $7M Asset-Intensive Reinsurance – Stable Earnings Under Market Movements Illustrative sensitivities for 2016 pre-tax adjusted operating income1 Low Sensitivity to Interest Rate Movements Low Sensitivity to Equity Movements Interest rate shocks have immaterial effect on pre-tax adjusted operati
Slide 60: Longevity – Executing Strategies
Transacted in U.K., Canada, Netherlands, France; targeting U.S. and elsewhere in Continental Europe Executed swaps, asset transfer, and stop-loss solutions Focused on advanced ages Inception to date, performance has been at or above expectations Execution Unique structures and solutions differentiat
Slide 61: Longevity Reinsurance
Longevity Reinsurance Continued strong income growth from new business and favorable experience Selective participation in targeted markets Provided first longevity-only solution for a North America pension plan in 2015 Strong demand expected to continue 1 Please refer to “Reconciliations of Non-GAA
Slide 62: Capital-Motivated Reinsurance – Executing Strategies
Capital-Motivated Reinsurance – Executing Strategies Leading presence in U.S., Japan, and Europe Broad variety of solutions in the U.S. including XXX/AXXX Solvency II-driven solutions in the U.K. and Continental Europe Execution Seasoned experts well-positioned in all regions Deep understanding of c
Slide 63: Capital-Motivated Reinsurance
Capital-Motivated Reinsurance Stable, fee-based contributor to income Established presence in U.S., Europe, and Asia Recognized leader in this highly specialized market Significant opportunities for growth in select regions Europe lower in 2016 due to Solvency I recaptures 1 Please refer to “Reconci
Slide 64: Vision for the Future
Vision for the Future RGA has what it takes to succeed Regulatory and capital changes will continue to drive demand Clients continue to value expertise and counterparty strength Market demand for longevity risk transfer may ultimately exceed capacity Seasoned expertise and strong client relationship
Slide 65: Key Messages
Key Messages Strong brand, reputation, market prominence Changing landscape creates opportunities Unique strengths create competitive advantages A recognized leader in large and complex transactions Experienced management team, disciplined approach Strong and stable financial results over many years
Slide 66: Financial Overview
Financial Overview Todd Larson Senior Executive Vice President and Chief Financial Officer
Slide 67: Key Messages
Key Messages Strong financial track record Continued organic growth and in-force transactions Effective capital management Conventional investment portfolio Less sensitivity to financial markets Stable liability structure Strong ratings Well-established Enterprise Risk Management framework Well-dive
Slide 68: Strong Financial Track Record
Strong Financial Track Record
Slide 69: Solid Growth of Adjusted Operating Revenues
Solid Growth of Adjusted Operating Revenues 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. Consistent growth delivered over time Growth rates muted by weak foreign currencies Good balance across mature and higher-growth markets, products GFS produces a combination of premi
Slide 70: Attractive Growth Rate of Adjusted Operating EPS
Attractive Growth Rate of Adjusted Operating EPS 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. 2 2Q13 Australia reserve strengthening impact adjusted operating EPS by $2.53. 3 2014 includes $0.47 of FIN 48 related tax benefits associated with closing five years of IRS exa
Slide 71: Solid Adjusted Operating ROE Despite Macro Environment Headwinds
Solid Adjusted Operating ROE Despite Macro Environment Headwinds 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. 2 2013 results reflect charge for reserve strengthening in Australia. Favorable results in the face of lower interest rates and foreign currencies 5-year average
Slide 72: Long-Term Track Record Is the Best Measure of Success
Long-Term Track Record Is the Best Measure of Success Book value per share (ex-AOCI)1 total return growth2 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. Periods prior to 4Q06 not restated for 2012 DAC accounting change. 2 CAGR growth of book value plus dividends.. 15-Year
Slide 73: Effective Capital Management
Effective Capital Management
Slide 74: Effective Capital Management
Effective Capital Management Strong Capital Position Balanced Capital Management Approach Excess capital position: $1.2 billion at March 31, 2017; target excess cushion: $300 to $500 million Maintain an efficient, appropriate mix of capital Continue to balance the capital-related expectations of sha
Slide 75: Efficient Capital Management
Efficient Capital Management Debt to Total Capital 16.6% 20.9% 20.8% 20.4% 21.8% 18.8% Hybrid to Total Capital 10.9% 10.1% 9.4% 9.3% 12.4% 12.6% Capital structure includes equity, debt, hybrid securities $ in millions
Slide 76: Efficient Capital Management
Efficient Capital Management Prudent laddering of debt and hybrid securities $ in millions 6.2% Fixed-to-floating in 2022 5.625% Fixed rate 6.45% Fixed rate 5.00% Fixed rate 6.2% Fixed-to-floating in 2022 3-month Libor +266.5 bps (~3.10%) 4.70% Fixed rate Other financing: Timberlake: $480 million at
Slide 77: Effective Capital Management
Effective Capital Management 1 Transactions include embedded value securitization ($300 million) and mortality retrocession ($170 million) in 2014. 2 Deployed capital includes block acquisitions and organic growth. 3-year excess capital roll-forward Balanced approach toward excess capital deployment
Slide 78: Five-Year Dividend Per Share
Five-Year Dividend Per Share CAGR = 14% Source: SNL & Company Filings. 1 Industry Average includes AFL, AIZ, CNO, GNW, HIG, LNC, MET, PFG, PRI, PRU, TMK, UNM. 2 Calculated as dividends divided by after-tax adjusted operating income. 3 Calculated as the dividend payout ratio plus buyback payout ratio
Slide 79: o ne] CS) = oa a= = gs o Qa fe) o = (3)
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Slide 80: RGA Has an Attractive Operating Model
RGA Has an Attractive Operating Model Balance and diversity of profits by geography and product High-quality earnings, less sensitivity to financial market volatility Considerable projected value embedded in the in-force business Stable liability structure Conventional investment portfolio Well-esta
Slide 81: Global Platform Delivers Balance and Diversity
Global Platform Delivers Balance and Diversity Percentages exclude Corporate. 1 Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. Total: $948.8 Million Total: $848.1 Million Total: $941.9 Million Earnings diversity by geography and product has reduced the impact of natural clai
Slide 82: RGA Produces High-Quality Earnings
RGA Produces High-Quality Earnings “Adjusted operating income” = net income over time Hedging and other “below”-the-line items equalize over time Less sensitivity to equity market volatility (less than 5% of pre-tax profits) Source: Autonomous Research US LP. Peer Companies include: AEL, AFL, AMP, C
Slide 83: Stable Liability Profile
Stable Liability Profile Reserves Profile March 31, 2017 Very low policyholder behavior risk: Mortality, LTC, Longevity, BOLI Lower policyholder behavior risk: Fixed and indexed annuity business with: High guarantees (typically 3-4%), Surrender charges, and/or Market-value adjustment (MVA) provision
Slide 84: Investments
Investments
Slide 85: RGA Investment Management Support
RGA Investment Management Support RGA’s Business Investment Strategy Maintain conventional life insurance investment portfolio Manage balance sheet strength and investment income Dedicated investment associates to support Global Financial Solutions and Global Acquisitions Balance internally managing
Slide 86: Investment Portfolio Is Conventional
Managed internally Investment grade corporate bonds Mortgage- and asset-backed securities Commercial mortgage loans Private equity and mezzanine debt Managed by external managers Corporate high-yield bonds Emerging market high-yield bonds Middle-market bank loans Private placements March 31, 2017 Ma
Slide 87: Investment Portfolio Is Conventional
Investment Portfolio Is Conventional 1 Includes asset-intensive funds-withheld assets. Excludes policy loans, other funds-withheld assets, affiliated securities, and liability derivative portfolios. Credit rating distribution Average rating has been stable Rating distribution has been stable RGA’s t
Slide 88: Enterprise Risk Management
Enterprise Risk Management
Slide 89: Well-Established Enterprise Risk Management Framework
Well-Established Enterprise Risk Management Framework Well-defined ERM framework Identify, assess, measure, and monitor risks quarterly Quarterly risk reporting at all levels of management including to the Board Clear risk tolerances and limits control risk exposures Stress-testing identifies potent
Slide 90: Financial Outlook
Financial Outlook
Slide 91: Attractive Growth Rate of Adjusted Operating EPS
Attractive Growth Rate of Adjusted Operating EPS1 1 Actual results shown (except projections). Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. 2 2Q13 Australia reserve strengthening impact adjusted operating EPS by $2.53. 3 2014 includes $0.47 of FIN 48 related tax benefits a
Slide 92: Attractive Adjusted Operating ROE
Attractive Adjusted Operating ROE1 Despite Macro Environment Headwinds 1 Actual results shown (except projections). Please refer to “Reconciliations of Non-GAAP Measures” in the Appendix. 2 2013 results reflect charge for reserve strengthening in Australia. Intermediate target: 10%-12% Potential pos
Slide 93: Financial Outlook: Attractive Investment Opportunity
Financial Outlook: Attractive Investment Opportunity Strong strategic position leads to solid organic growth Continue to pursue in-force and transactional opportunities Effective capital management adds to shareholder returns RGA’s operating model is attractive Intermediate guidance is unchanged 5%-
Slide 94: Key Messages
Key Messages Strong financial track record Continued organic growth and in-force transactions Effective capital management Conventional investment portfolio Less sensitivity to financial markets Stable liability structure Strong ratings Well-established Enterprise Risk Management framework Well-dive
Slide 95: Appendix: Reconciliations of Non-GAAP Measures
Appendix Reconciliations of Non-GAAP Measures
Slide 96: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures $ in millions
Slide 97: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures $ in millions
Slide 98: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures $ in millions
Slide 99: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures $ in millions
Slide 100: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures
Slide 101: RGA
Reinsurance Group of America — Investor Day (May 2017) on 6ix